PROPOSED IMPROVEMENT OF EMPLOYEE PERFORMANCE MANAGEMENT SYSTEM IN PT. SUMMARECON AGUNG

• Main Author: DWIASTUTI (NIM: 29109328) ; Pembimbing Prof. Dr. Ir. Jann Hidajat Tjakraatmadja, MSIE, Ir. Jo, ADINDA
• Format: Theses
• Language: Indonesia
• Online Access: https://digilib.itb.ac.id/gdl/view/17777
• Institution: Institut Teknologi Bandung

Employee Performance Management System is a systematic process for improving <br /> <br /> <br /> <br /> <br /> organizational performance by developing the performance of individuals and teams and <br /> <br /> <br /> <br /> <br /> ensuring that employees’ activities and output are congruent with the organization’s <br /> <br /> <br /> <br /> <br /> goals. This process became one of the key processes in managing human resources. There <br /> <br /> <br /> <br /> <br /> are three stages in the performance management system, which are defining performance, <br /> <br /> <br /> <br /> <br /> measuring performance, and feeding back performance. PT. Summarecon Agung Tbk., <br /> <br /> <br /> <br /> <br /> which is one of the major companies engaged in property and real estate, facing a <br /> <br /> <br /> <br /> <br /> problem related with employee performance measurement. The current performance <br /> <br /> <br /> <br /> <br /> appraisal does not reflect the actual performance employees. In addition, the performance <br /> <br /> <br /> <br /> <br /> appraisal in PT. Summarecon Agung Tbk. is used for bonus distribution. This caused the <br /> <br /> <br /> <br /> <br /> performance appraisal ineffective. <br /> <br /> <br /> <br /> <br /> To create an effective measurement, an organization can construct Employee <br /> <br /> <br /> <br /> <br /> Performance Management System through Management By Objectives (MBO) approach. <br /> <br /> <br /> <br /> <br /> This approach will overcome problems that occur when organization uses once-a-year <br /> <br /> <br /> <br /> <br /> performance appraisal. Each step in the performance management should be met because <br /> <br /> <br /> <br /> <br /> each stage has an important role, such as performance agreement, performance <br /> <br /> <br /> <br /> <br /> measurement, and performance feedback. The performance measurement is using <br /> <br /> <br /> <br /> <br /> Balance Scorecard approach to align employee’s contribution to company’s goal. <br /> <br /> <br /> <br /> <br /> Implementation of employee performance management system needs extra effort from all <br /> <br /> <br /> <br /> <br /> employees. Because it is a new thing to the organization, then change management model <br /> <br /> <br /> <br /> <br /> will be needed. First step of change management is to determine the need of change, and <br /> <br /> <br /> <br /> <br /> then management will analyze and make plans for improvement. After that, another <br /> <br /> <br /> <br /> <br /> important step to be done is communicate the change. The purpose is to realize all <br /> <br /> <br /> <br /> <br /> employees about the importance of change for organization. Finally, organization can <br /> <br /> <br /> <br /> <br /> implement the change. There are things that are important and often overlooked in the <br /> <br /> <br /> <br /> <br /> implementation of performance management system, which are commitment and <br /> <br /> <br /> <br /> <br /> communication. All elements of organizations should committed and also develop <br /> <br /> <br /> <br /> <br /> communication to support the change.